KennelInteriors, an interior design company, has experienced a drop in business due to an increase in interest rates and a corresponding slowdown in remodeling projects. To stimulate business, the company is considering exhibiting at the Middleton Home and Garden Expo. The exhibit will cost the company $15,080for space. At the show,KennelInteriors will present a slide show on a laptop, pass out brochures that were printed previously (the company printed more than needed), and show its portfolio of previous jobs.

The company estimates that revenue will increase by $40,250over the next year as a result of the exhibit. For the previous year, profit was as follows:

Revenue$214,366Less:Design supplies$18,022Salary of Samantha Spade (owner)82,404Salary of Kim Bridesdale (full-time employee)55,845Rent18,958Utilities7,100Depreciation of office equipment4,210Printing of advertising materials826Advertising inMiddleton Journal3,000Travel expenses other than depreciation of autos3,170Depreciation of company cars10,590204,125Net income$10,241

Assume that design supplies and travel other than depreciation are variable costs.

Calculate the impact of the exhibit on company profit.(Round intermediate calculations to 4 decimal places, e.g. 0.3215 and final answer to 0 decimal places, e.g. 125.)

Company profit will

select an option

increase

decrease

by

enter a dollar amount

Should the company exhibit at the home show?

The company

select an option

should

should not

exhibit at the home show.